Hitachi Must Pay $9M Arbitration In Power Plant Spat

By Mike Cherney (November 25, 2009, 1:36 PM EST) -- A federal judge has decided not to throw out an $8.6 million arbitration award given to construction and engineering firm Aker Kvaerner Songer Inc. by Hitachi America Ltd. in a contract dispute over the construction of a coal-fired power plant in Council Bluffs, Iowa.

Judge Charles R. Wolle of the U.S. District Court for the Southern District of Iowa issued his decision Tuesday, disagreeing with Hitachi that the arbitration award should be overturned because the American Arbitration Association panel refused to let it conduct adequate discovery.

Hitachi brought the suit against AKSI, which served as a Hitachi subcontractor on the project,...

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